Describe How the Monetary Environment Affects Businesses That Operate Internationally

Describe how the Monetary Environment affects Businesses that Operate Internationally

This assignment will be looking at how The Coca Cola Company operate internationally along with the trading risks and how the international monetary environment affects the business. It will also look at the support that government agencies offer

1.1 Establishment, finance and promotion of The Coca Cola Company

1.2 International trade risks

1.3 International Monetary Environment

1.4 Government agency support

1.5 Conclusion

1.1 Coca Cola is a public limited company in the non-alcoholic beverage industry. The company was founded in 1887 by Asa Griggs Candler however the Coca Cola product was founded by a pharmacist called John Pemberton in 1886. The headquarters are located in Atlanta, Georgia, USA. The first Coca Cola soft drink was sold at a soda fountain at Jacobs’s pharmacy to the public. During the first year of John Pemberton selling the Coca Cola product he was generating $70 in expenditure and only $50 in sales resulting in a $20 loss within the first year. Asa Griggs Candler then purchased the formula from John Pemberton in 1887 for $2,300. Coca Cola then went onto become the most popular product in the fountain drink industry by the late 1890’s. Between 1890 and 1900 sales increased by 4000%. The advertising aspect of the business came into full affect by the turn of the century when the product began to be sold throughout the USA and Canada. Independent bottling companies were then given licensing to sell the Coca Cola product to help generate more sales. A variety of advertising campaigns have been used over the past few decades by Coca Cola. Some for example have been via newspaper, billboards, Television and more recently YouTube adverts. One of the more recognisable Coca Cola advertising campaigns is the Santa Clause one which is often shown in the winter period, primarily during the Christmas time frame. It is currently estimated...